Elena Grumeza
The document regulates issues related to settlement discipline, the cross-border provision of services, supervisory cooperation, and requirements for central securities depositories.
One of the provisions of the draft allows central depositories licensed in EU countries to provide services in Moldova, including through the establishment of a branch. It also introduces new rules for the registration of securities, the reporting of certain transactions to the authorities, and mechanisms to ensure settlement discipline.
The draft law provides for daily fines for participants whose fault results in the non-execution of transactions and, in certain cases, a mandatory buy-in procedure.
Burduja: “We risk ending up under the control of large financial institutions”
During the discussion, MP Petru Burduja questioned the advisability of adopting the new regulations before Moldova joins the EU. In his view, the changes could affect the operations of the Unified Central Depository and limit Moldova’s ability to independently set rules for the financial market.
“The current law on the Unified Central Depository is being repealed, and Moldova is effectively pushing it toward bankruptcy. We are, in essence, risking ending up under the control of large financial institutions that will set the rules of the game for us, since the supervisory board provided for in this bill will be required to take into account documents from the European Securities and Markets Authority. It will not take into account the national interests of the Republic of Moldova or the interests of its citizens. We are becoming part of a vast market in which we will no longer be able to set certain rules.”
Ministry of Finance: The Unified Central Depository Will Not Be Bankrupted
State Secretary of the Ministry of Finance Elena Grumeza, however, rejected claims that the draft law is aimed at bankrupting the Unified Central Depository. Among the benefits of the new regulations, she cited shorter settlement times and easier access to international financial instruments.
“This law is not intended to bankrupt the Unified Central Depository. It will continue its operations and maintain its activities, and the issue of re-licensing is a procedural one. We are confident that the depository already meets all these requirements and will be re-licensed.”
The bill is scheduled for a second reading. If adopted, the new regulations will take effect 12 months after publication in the “Official Monitor.”
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